Help Please!

[Anonymous]

Can someone please tell me how I should handle this situation: I had 3 medical bills for the same original creditor that were sent to collections. The Collection Agency was Transworld Systems Inc. I later received a judgment which I paid several months ago. The judgment is not showing up on my credit reports but the 3 collections are still reporting by Transworld as paid. How can this be? I paid the judgment via the attorney representing the original creditor. I was thrilled that the judgment fell off but annoyed that Transworld is reporting them. I have papers from the court showing the debt/judgment is paid, should I send this to Transworld or the CRA? I plan to apply for a mortgage in the next 6 months and I need these removed. 

[Anonymous]

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@Anonymous wrote:

Can someone please tell me how I should handle this situation: I had 3 medical bills for the same original creditor that were sent to collections. The Collection Agency was Transworld Systems Inc. I later received a judgment which I paid several months ago. The judgment is not showing up on my credit reports but the 3 collections are still reporting by Transworld as paid. How can this be? I paid the judgment via the attorney representing the original creditor. I was thrilled that the judgment fell off but annoyed that Transworld is reporting them. I have papers from the court showing the debt/judgment is paid, should I send this to Transworld or the CRA? I plan to apply for a mortgage in the next 6 months and I need these removed. 

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Collections don't just disappear when they're paid. Typically it's recommended to try and get them to agree to deleting it as a condition of paying it. Since these are already paid, all you can really do is write Transworld and ask for a goodwill deletion.  It's worth a shot, but beware that you might be stuck with these.

[Anonymous]

So they are allowed to continue reporting the debt as paid to them even though I paid the attorney for the original creditor?

[Anonymous]

Unfortunately they can legally report up to 7 years.  Since you already paid the debt you have leverage to use other than a gw letter.

[Anonymous]

Did you ask the original creditor to recall them from the collection agencies?  If they had sold the debts to the CA then they should not have taken payment for them, but if the collection agency was just assigned to them the OC could take payment.  It may just be a case of bad communication and the CA not knowing that the debt has been satisfied.  If the CA no longer has collection authority, they must delete the collection.  Now if it was a paid collection, it does not have to be deleted, they simply have to update the status to paid/satisfied.

[Anonymous]

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@Anonymous wrote:

Unfortunately they can legally report up to 7 years.  Since you already paid the debt you have leverage to use other than a gw letter.

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What would that leverage be?

[Anonymous]

I still don't understand. It was a paid judgment. Is that considered the same? It seems unfair to have a paid judgment AND paid collection reporting for the SAME debt

[Anonymous]

Just a suggestion...this helped me. I had a medical collection that was with a CA. I paid the OC, then I disputed with the CRA. The CRA removed the tradeline. Then a month or so later I received a message from the CA stating they were removing their tradeline. Although, it had already been removed. I included a copy of the receipt showing that my payment was accepted by the OC. I'm not saying this will definitely help you, but, its worth a try.